Budgeting is hard. Just ask the U.S. government.

When Congress can’t agree on a budget, the government shuts down. Federal workers wait. Paychecks stall. Life, however, keeps happening. Rent is due. Food needs to be put on the table. Bills need to be paid.

So, what do you do when your paycheck stops, but the bills don’t?

In this episode of Headlines and Fine Print, PACU President & CEO Dion Williams provides practical tips to steady yourself while Washington sorts things out.

Communicate with Your Lenders

You’re not alone in this moment. In recent years, people have faced numerous financial challenges, including the COVID-19 pandemic, Hurricane Helene in 2024 and the current government shutdown.

Credit unions are built for times like these. We strive to take your needs into account and tailor the solution to your specific situation, because one size doesn’t fit all. Lenders prefer to work with you early, before small stress becomes considerable stress.

If you have a mortgage, speak with your lender about your situation. Financial institutions would much prefer to help you keep your home. Be open about your circumstances, and hopefully, you can work together to find a solution.

Start with the essentials such as mortgage or rent, transportation, food and utilities. If you rent, discuss payment options with your landlord to ensure a smooth financial arrangement. Many utility providers offer hardship programs. The earlier you have these conversations, the better.

The government shutdown is affecting many people, so many providers, such as utility companies, are ready and willing to offer hardship programs or delayed payments.

Take Advantage of Emergency Resources

Now may be the time you have to tap into emergency funds to make ends meet during the shutdown.

If the situation arises, you may consider reaching out to other lenders or creditors to request emergency extensions or refinance your loans to help you get through. Lenders could also provide emergency loans at low or no interest for exceptional circumstances like this.

Understandably, there is pride in working and not wanting to ask for help, but now may be the time when assistance is needed. There are local nonprofits and food banks in communities that can assist. If you have children, their school might offer meal programs that continue regardless of income status.

While your emergency fund is a great starting point, consider having conversations with your creditors and exploring community resources to further support your financial stability.

Consider Temporary Work

There’s never a good time for a government shutdown. However, being this close to the holiday season, there may be opportunities for seasonal work that can provide income to help make it through until the government reopens.

This could be an ideal opportunity for you to turn a hobby into a temporary source of income. “Temporary” is the key to bridging the gap between the shutdown and resumption of life as it was.

Review Your Expenses with Fresh Eyes

Discussing cuts is rarely enjoyable, but it may be the best time to explore ways to reduce costs and manage the shutdown.

For example, examine your subscriptions. Regularly reviewing them is a good habit, since it’s easy to forget to cancel unwanted or rarely used subscriptions. Many allow you to pause them temporarily, or you can cancel if it’s something you want to keep long-term or if you don’t use it often.

There are other ways to save money, too, such as cooking at home instead of ordering takeout or delaying big purchases, whether it be a vacation or a large-ticket item, until there is more certainty in your finances.

Here’s the Fine Print Behind all the Headlines

Shutdowns end. They all do. But while we’re in the middle of this one, you don’t have to manage it alone. Your credit union is here to support you in any way to help you get through financial difficulties. A conversation today and other creditors can save stress tomorrow.

Want to talk with a PACU Certified Credit Union Financial Counselor? You can schedule an appointment or call 800.433.7228. As always, you can check out past episodes of Headlines and Fine Print on Spotify and YouTube for more financial tips and insights into what’s happening in the credit union world.